Michelin expands retread biz with major acquisition
GREENVILLE, S.C. — Michelin North America has signed a definitive agreement to acquire Oliver Rubber Co., a subsidiary of Cooper Tire & Rubber Co., which produces tread rubber and retreading equipment.
Following the acquisition, reported at $69 million, Oliver will operate as a subsidiary of Michelin North America.
The deal will complement the manufacturing capability and service network of Oliver with that of the Michelin Retread Technologies (MRT) network, enabling Michelin to extend its reach in the growing commercial retreading market.
In 2005, Michelin announced a major expansion of its tread manufacturing facility in Covington, Ga. and, earlier this month, the opening of a new manufacturing facility in Mexico.
“Oliver’s manufacturing capacity, product portfolio and experienced workforce are a terrific complement to Michelin’s current retread operation,” said Luc Minguet, Chief Operating Officer of Michelin Americas Truck Tire. “We believe the two brands, managed according to Michelin’s strategic focus, will offer the North American trucking industry broader access to products and services to better meet their needs.”
The transaction is subject to Federal Trade Commission and U.S. Department of Justice approval.
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